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    Home / News / Business News / Gaming giant Ubisoft closes UK studio, lays off 185 employees
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    Gaming giant Ubisoft closes UK studio, lays off 185 employees
    Ubisoft has been struggling with the underwhelming performance of a few games

    Gaming giant Ubisoft closes UK studio, lays off 185 employees

    By Mudit Dube
    Jan 28, 2025
    11:57 am

    What's the story

    Ubisoft has announced plans to shut down its Leamington studio in the UK and lay off around 185 employees.

    The move comes as part of a larger cost-cutting strategy after a string of failed game releases.

    The company confirmed the restructuring will also impact its studios in Stockholm (Sweden), Dusseldorf (Germany), and Newcastle (England).

    Studio history

    Ubisoft Leamington's journey and contributions

    Ubisoft Leamington, formerly FreeStyleGames, was acquired by Ubisoft from Activision back in 2017.

    The studio is famous for its work on popular titles like Guitar Hero Live and the DJ Hero series.

    Since joining Ubisoft, it has worked on the development of games like Tom Clancy's The Division series, Star Wars Outlaws, Skull and Bones, and Far Cry 5.

    Performance issues

    Ubisoft's struggles with underperforming games

    Ubisoft has been struggling with the underwhelming performance of a few games, including Star Wars Outlaws and Prince of Persia: The Lost Crown, both of which missed sales targets.

    Following these failures, the company moved many developers from these projects to other teams.

    Ubisoft also plans to shut down first-person shooter game XDefiant in June this year as part of a broader downsizing effort that will close three studios and lay off 277 employees. XDefiant was launched in May 2024.

    Workforce reduction

    Ubisoft's workforce and future plans

    By the end of September, Ubisoft's headcount had shrunk from 20,279 to 18,666.

    Despite these difficulties, reports indicate that Ubisoft could be seeking a buyer or exploring a joint venture with Tencent.

    Earlier this month, the company said it would "continue to drive significant cost reductions" and had "appointed leading advisors to review and pursue various transformational strategic and capitalistic options to extract the best value for stakeholders."

    Upcoming release

    High hopes for upcoming Assassin's Creed Shadows

    Now, Ubisoft is pinning its hopes on the upcoming game, Assassin's Creed Shadows.

    The Assassin's Creed series has always done well for Ubisoft and is one of its flagship franchises.

    Going by early impressions, Shadows could well appeal to both long-time fans and newcomers to the series, giving the much-needed boost to the company amid its current challenges.

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